"Apple Computer Inc's iTunes remains the leader in paid digital music downloads, but the number of paying customers for this sector overall has decreased since April, research firm NPD said Tuesday. The Port Washington, New York-based market information company said the number of consumers paying for downloads fell to nearly one million users per month in May, June and July from a peak of 1.3 million in April 2004," reports Reuters.
"NPD said the downturn coincides with the end of promotions and trial price incentives offered by several services.
"Meanwhile, NPD cited no slowdown in the number of households with a member using peer-to-peer (P2P) sites to download music for free, with 6.4 million tallied in July 2004, compared with 5.1 million in August 2003."
Comment: The press release (with graph) is here.